So this is an aside into the world of residency financing. You wouldn't understand what this article is about without the information quoted above.
Judge puts freeze on sale of Hahnemann residency program — for now
Hahnemann had 550 residency spots, funded by Medicare "in perpetuity" (or at least until the rules change, which is really hard to execute).
The residents in those programs took the Medicare funding with them to other programs. So Hahnemann has no incoming Medicare funding for residents for the duration of those residents tenure at other programs (let's say between 1-5 yrs, since anyone in their last year of training will only take the Medicare funding with them to another institution for 1 year, anyone with 2 years left will take the Medicare funding for 2 years, etc).
But Hahnemann (or its creditors) still own the rights to future payments from Medicare for 550 residency positions that they would have filled in 2020, 2021, etc. What's that worth?--well, about 100K/position.
Meaning to say other institutions/hospitals are willing to fork out 100K for each position so that they can own the rights to those residents in the future.
Clearly there's a calculation of risk here, because in my opinion, if truly "perpetual", each spot would be worth more than a one time payment of 100K. Since the person--who one could argue will be as productive as an average PA--won't cost the institution anything in salary.
It looks like CMS wants to take back that funding, possibly to reallocate to other regions (the Northeast is relatively overfunded), or possibly just to save the salary costs in the future (more likely this). So there's a battle going on.
This is really inside baseball stuff and not that germane to applicants EXCEPT for applicants applying to programs at hospital systems that are financially weak--because you never know when that hospital is going to make a calculation that they want to auction off their residency programs for some cash.